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No. 47. The Right Hon. the Prime Minister to the High Commissioner. Sir, — Prime Minister's Office, Wellington, 19th February, 1906. I have the honour to acknowledge the receipt of your letter of the 23rd December last notifying that final arrangements have been made by the Pacific Cable Board for the opening of offices in Sydney and Melbourne for the purpose of active competition with the Eastern Company in Australia. Though time has been lost in making this new departure, and the expense to be incurred will be considerable, I confidently anticipate that the step about to be taken will turn out to be in the best interests of the Pacific Cable Board I am pleased to learn that the traffic returns of the cable show a continued improvement. I have, &c, Albert Pitt, for Prime Minister. The Hon. W. P. Reeves, High Commissioner for New Zealand, London. [P.O. Bates 06/29.]

MISCELLANEOUS.

No. 48. The Superintendent, Pacific Cable Station, Doubtless Bay, to the Secretary, General Post Office, Wellington. Sir,— The Pacific Cable Board, Doubtless Bay Station, 13th June, 1905. In further reply to 3'our letter dated the 26th January, I am directed by the General Manager to send you a copy of a letter (attached) which he received from Mr. George G. Ward, Vice-President and General Manager, Commercial Cable Company, New York. I have, &c, C. L. Hertslet, Superintendent. The Secretary, General Post Office, Wellington. P.O. Misc. 05/80.]

Enclosure in No. 48. The Vice-President and General Manager, Commercial Cable Company, New York, to the General Manager, Pacific Cable Board, London. Sir, — The Commercial Cable Company, New York, 14th April, 1905. Your letter of the 24th March, with copy of a letter from New Zealand Government [not printed] concerning Mr. Forbes's experience with American and Canadian telegraph offices at which he presented telegrams for Australia and New Zealand. Mr. Forbes does not say if the American offices he visited were offices of the Postal or Western Union Telegraph Companies. We think it extraordinary that postal telegraph offices should betray ignorance of the Pacific cable to Australia. Signs reading "In connection with the Canada-Australia cable " are displaj'ed on all important offices, and will scon be on every office. Advertising matter has been and is liberally scattered, and a long continued notice appears in the fortnightly circular supplied to every office. Your suggestion concerning the tariff book is well made. I will see that a change is made in the next issue. In the meantime a suitable notice shall appear in the fortnightly circular, and be kept standing until the next print of the tariff book. Yours, &c, George G. Ward, Vice-President and General Manager. C. H. Reynolds, Esq., General Manager, Pacific Cable Board, Queen Anne's Chambers, Tothill Street, Westminster, London, S.W.

No. 49. The Secretary, General Post Office, Wellington, to Mr. E. J. Forbes, Sydney. Sir, — General Post Office, Wellington, 15th June, 1905. I beg to refer to the representations made by you when in Wellington in January last as to the little information available at telegraph offices in Canada and the United States about the Pacific cable and the rates to New Zealand and Australia by that route. The matter was brought under the notice of the Superintendent of the Pacific Cable Station at Doubtless Bay, and a reply has now been received, as follows: " ... The General Manager has brought the matter under the notice of all the American companies, and has suggested that their tariff books should show clearly and readily that the Pacific rates are the cheapest and that our route is the most direct to Australasia. He concludes his letter by writing ' I trust that the action I have taken will prevent the recurrence of the case brought under notice.' " I have to thank you for having directed attention to the subject. Yours, &c, W. Gray, Secretary. E. J. Forbes, Esq., Australasian Agent for G. and C. Merriam Company, No. 8 Spring Street, Sydney, 4— F. 8.